SALT LAKE CITY - An insurer did not act in bad faith in denying coverage for an allegedly stolen skid loader because ample evidence exists to support the insurer's denial of the claim, a federal judge in Utah ruled July 18 in an insurance bad faith and breach of contract lawsuit (Naser Awadh, et al. v. Farm Bureau Mutual Insurance Co., No. 13-0145, D. Utah; 2016 U.S. Dist. LEXIS 93369).
NEWARK, N.J. - A federal judge in New Jersey on July 19 granted an insurer's motion to dismiss in an insurance breach of contract and bad faith lawsuit, ruling that an insured failed to show that the district court has subject matter jurisdiction over the action (Florence Hanson v. Allstate New Jersey Insurance Co., No. 15-8882, D. N.J.; 2016 U.S. Dist. LEXIS 93444).
HOUSTON - An insurance policy's "your work" exclusion precludes damages awarded in arbitration to homeowners because the insured contractor's work caused the damages, which did not include damages to the pool or work performed by other subcontractors, a Texas federal judge ruled July 19 (Grier Patton and Camille Patton and David A. Fettner v. Mid-Continent Casualty Co., No. 15-1371, S.D. Texas; 2016 U.S. Dist. LEXIS 93568).
HOUSTON - A nurse at a Texas home health care services company was found guilty on three counts of health care fraud by a unanimous jury in the U.S. District Court for the Western District of Texas on July 19 for her role in an $8 million scheme that involved submitting false and fraudulent claims to Medicare (United States of America v. Precious Deshield, et al., No. 15cr319, S.D. Texas).
SAN FRANCISCO - A woman's Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) lawsuit against Chevron Capital Corp. over petroleum contamination at a site in Oakland she purchased in 2010 that formerly housed a gas station was dismissed by a federal judge in California on July 19, who held that the statute's petroleum exclusion barred the woman's claim (Hong Jacqueline Nguyen Gardner v. Chevron Capital Corporation, No. 15-cv-1514-JD, N.D. Calif.; 2016 U.S. Dist. LEXIS 94110).
LOS ANGELES - A California federal judge on July 18 granted William H. Cosby Jr.'s motion to stay a homeowners and excess insurer's coverage dispute pending resolution of an underlying lawsuit brought by model, actress and TV producer Janice Dickinson but denied the motion to the extent Cosby seeks a stay pending the resolution of a criminal action in Pennsylvania (AIG Property Casualty Co. v. William H. Cosby Jr., et al., No. 15-04842, C.D. Calif.).
NEW ORLEANS - A district court must reconsider whether an employment agency should have known about its client's possible discriminatory transfer request after the worker, who alleges that she was discriminated against because of her age, showed that the agency failed to follow its usual practice of investigating employee removal requests, a Fifth Circuit U.S. Court of Appeals panel ruled July 18 (Helen Nicholson v. Securitas Security Services USA, Incorporated, No. 15-10582, 5th Cir.; 2016 U.S. App. LEXIS 13127).
CHICAGO - In a July 19 ruling, a Seventh Circuit U.S. Court of Appeals panel affirmed discovery sanctions against an attorney in a "porno-trolling collective" for what it called egregious and obstructive behavior in failing to comply with a trial court's sanctions awards against it in the wake of a dismissed file-sharing lawsuit (Lightspeed Media Corp., et al. v. Anthony Smith, et al., No. 15-2440, 7th Cir.; 2016 U.S. App. LEXIS 13195).
WASHINGTON, D.C. - A Delaware federal judge erred in finding that a Finland-based patent infringement defendant lacked sufficient minimum contacts with Delaware to support specific jurisdiction there, the Federal Circuit U.S. Court of Appeals ruled July 20 (Polar Electro Oy v. Suunto Oy, No. 15-1930, Fed. Cir.; 2016 U.S. App. LEXIS 13221).
DETROIT - Enbridge Energy L.P. and a number of its subsidiaries agreed July 19 to spend $110 million for a series of measures to prevent pipeline spills, pay a $62 million civil penalty for Clean Water Act violations, and reimburse the government for $5 million it spent to cleanup contamination from pipeline spills in Marshall, Mich., and Romeoville, Ill., in 2010, according to a recent docket entry in a Michigan federal court (United States of America v. Enbridge Energy L.P., et al., No. 16-cv-914, W.D. Mich.).
WASHINGTON, D.C. - Although a California federal judge properly denied a motion for attorney fees by four prevailing patent infringement defendants, she improperly exercised supplemental jurisdiction over state law claims of breach of fiduciary duty, aiding and abetting and unfair competition because the federal and state law claims share no common nucleus of operative facts, the Federal Circuit U.S. Court of Appeals ruled July 21 (AngioScore Inc. v. TriReme Medical LLC, et al., Nos. 16-1126, - 1142, Fed. Cir.).
WASHINGTON, D.C. - A discovery guide created by the U.S. Department of Justice and used by federal prosecutors qualifies as attorney work product, a District of Columbia U.S. Court of Appeals panel ruled July 19, affirming a trial court's finding that the DOJ did not need to produce the manual in response to a Freedom of Information Act (FOIA) request (National Association of Criminal Defense Lawyers v. U.S. Department of Justice Executive Office for United States Attorneys, et al., No. 15-5051, D.C. Cir.; 2016 U.S. App. LEXIS 13141).
BOSTON - Two former Acclarent Inc. executives on July 20 were acquitted of 14 felony counts of marketing a medical device for off-label uses but were convicted of 10 misdemeanor counts for the same conduct, the U.S. Attorney's Office for the District of Massachusetts said in a press release (United States of America v. William Facteau, et al., No. 15-cr-10076, D. Mass.).
SAN FRANCISCO - A federal judge in California on July 18 granted preliminary approval of a $23.5 million settlement between shareholders and a semiconductor company and others in a securities class action lawsuit, appointing shareholders as class counsel and approving the proposed settlement class (Keith Thomas, et al. v. MagnaChip Semiconductor Corp., et al., No. 14-1160, N.D. Calif.).
LOS ANGELES - A defendant's "befuddlement" over the conclusion that it destroyed evidence ignores the differing stories the defendant told throughout the litigation, a widow told a federal judge in California July 18 (Victoria Lund, et al. v. Crane Co., et al., No. 13-2776, C.D. Calif.).
HOUSTON - A Texas appeals court on July 19 declined to rehear an asbestos case in which it found that a nine-year gap in accepting a settlement offer did not doom the claim, turning away Union Carbide Corp.'s warning that the ruling "risks creating a dangerous precedent" (Union Carbide Corp. v. Perry Jones, Rosemary Allegria, et al., No. 01-14-00574-CV, Texas App., 1st Dist.).
BALTIMORE - State law issues predominate in an asbestos action where the only federal issues arise from third-party complaints, a federal judge in Maryland held July 18 in severing the original action and remanding it (Wayne Oliver v. Campbell McCormick Inc., No. 16-1057, D. Md.; 2016 U.S. Dist. LEXIS 92756)
AUSTIN, Texas - The special deputy receiver (SDR) of an insolvent insurer asked a Texas court on July 15 to approve a settlement between a homeowner and the receivership estate of an insolvent insurer of the homeowner's fire damage claim (The State of Texas and the Texas Department of Insurance v. Vesta Fire Insurance Corporation, et al., No. D-1-GN-002366, Texas Dist., Travis Co.).
SYRACUSE, N.Y. - A federal judge in New York on July 18 terminated as moot a reinsurer's motion to amend its pleadings to withdraw its Bellefonte-based defenses and claims (Munich Reinsurance America Inc. v. Utica Mutual Insurance Company, No. 13-cv-00743, N.D. N.Y.).
WASHINGTON, D.C. - A German-based software development firm filed suit against the U.S. government July 15 in the U.S. Court of Federal Claims, seeking almost $600 million in damages for the U.S. Navy's copyright infringement, which the firm says occurred when the Navy far exceeded a limited license it had previously been granted to use the firm's virtual reality software (Bitmanagement Software GmbH v. The United States of America, No. 1:16-cv-00840, Fed. Clms.).
PORTLAND, Ore. - Allegations of trademark infringement by adidas America Inc. and adidas AG will proceed in Oregon federal court, an Oregon federal judge ruled July 19 (adidas America Inc., et al. v. Athletic Propulsion Labs LLC, No. 16-415, D. Ore.; 2016 U.S. Dist. LEXIS 92770).
WASHINGTON, D.C. - A tribunal for the International Centre for Settlement of Investment Disputes (ICSID) on July 20 released a declarative decision, stating that tribunals appointed in an investment dispute filed by a resource company against the People's Republic of Bangladesh and others have exclusive jurisdiction over the cases and that the respondents must take steps to make the Bangladesh courts aware of ICSID's jurisdiction over the case (Niko Resources [Bangladesh] Ltd. v. People's Republic of Bangladesh, et al., Nos. ARB/10/11 and ARB/10/18, ICSID).